What is the islamically reasonable percentage of profit that a muslim can charge on his goods and/or services.

Answered by 

Shaykh Ebrahim Desai

For example a friend of mine has a xerox copy store. A certain service he offers in the store costs him Rupee 1.00. However the charge to the buyer is Rupees 5.00. This is Rupees 4.00 in each such transaction. I am not sure if such high profit can be charged. Can you clarify this isssue, in the light of Quraan/Hadith if possible? JazakAllah

Answer:

There is no profit restrictions in Shari’ah. However, it is disliked to
exceed double the profit margin of the market.

and Allah Ta’ala Knows Best

Mufti Ebrahim Desai

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This answer was collected from Askimam.org, which is operated under the supervision of Mufti Ebrahim Desai from South Africa.

Tags: Hadith, Quraan

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